Prime Minister Christopher Luxon said the Government is currently looking into tax legislation for charitable entities, hinting that he wants charities who run like profitable businesses to pay tax. 

Charity Researcher Dr Michael Gousmett tells Heather du Plessis-Allan that New Zealand has been a little slow on updating its legislation. Legislation introduced in 1891 never expected commercial operations of today’s scale. 

Dr Gousmett says there is a provision in the Income Tax Act that could solve this problem without needing to change any legislation at all, but that it would be very difficult to ascertain how much tax companies would pay. 

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